Looking to hear experiences or notes on buying an architecture firm?

searcher profile

February 23, 2025

by a searcher from INSEAD in Calgary, AB, Canada

I am curious to hear your thoughts and experiences with acquiring an architecture firm.
The owner will stay on for up to 3 years.
Thx

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commentor profile
Reply by a lender
from California State University, Sacramento in Seattle, WA, USA
I wonder what kind of work and projects the firm specializes in. Where do they get their business. Ant referral
concentrations? Ties to ground up new construction? Cyclical industries? Reliance on the seller? For SBA if you’re doing 100% buyout, the seller can only stay on for a year. You’d have to do a partial change of ownership or roll to have the seller stay on for multiple years. redacted Other comments already made about licensing. And hopefully many people in the company doing the work. What’s your relatable expertise?
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Reply by a searcher
from Ivey Business School at Western University in Toronto, ON, Canada
Following for others views too. Great that you have the owner staying on to alleviate key-man risk (at least for a few years).

Question with all these pro-services opportunities is identifying if you’re buying a “person” (who eventually leaves) or a real business that doesn’t rely entirely on the experience/skills of the owner. The bigger the company, the lower the risk (imo).
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